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Npower Handed £2m Fine For Poor Behaviour

By Katie Anderson on October 31, 2011

Energy regulator Ofgem has handed npower a £2 million fine, after they found the energy provider guilty of mishandling customer complaints.

This is the second time one of the so-called “Big Six” has been fined for the same offence; British Gas was ordered to pay £2.5 million back in July.

In an industry tarnished by poor behaviour, Ofgem’s investigation found that npower had failed to properly record customer complaints. Energy firms are also supposed to inform dissatisfied customers about the Energy Ombudsman’s redress service – which  deals with unresolved complaints – and npower was found to have not followed the proper course of action.

Designed to compliment the work of the Energy Ombudsman, in October 2008, Ofgem introduced new regulations which outlined the minimum standards customers should expect when making a complaint.

An npower spokesman apologised, and said they were sorry for letting their normally high standards slip: “A small number of processes were not correctly adhered to. We have zero tolerance for this type of issue and we’ll continue to work hard to make sure our customers are put first.”

Ofgem is also in the process of investigating EDF Energy, and their complaints procedure.